If you provide a product or service, which uses component pricing, then you may need to check if the way you advertise meets the new component price advertising requirements.
Changes to the Trade Practices Act 1988 (TPA), which came into effect on 25 May 2009, now require businesses to provide a single (total) price to consumers that is easily seen, in addition to any component pricing used.
The following components must now be included in your advertised price:
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charges payable by a consumer to purchase the good or service
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taxes, duties, fees, levies or charges payable by the consumer for the supply of the good or service.
The following components do not need to be included in your advertised price:
For further information on the changes to component pricing and the TPA, please visit the Australian Competition and Consumer Commission Component pricing webpage, or download their News for business – Component price advertising publication.
